Unemployment Claims Remain Near Historic Low

?States reported that 231,000 workers filed for new unemployment benefits during the week ending June 25, a drop of 2,000 from the previous week’s revised level. The number of workers continuing to claim unemployment benefits—1.3 million—is well below the pre-pandemic average of 1.7 million.

Jobless claims have remained near pre-pandemic levels since early this year, as employers have generally avoided laying off workers in historically high demand. But claims have slowly climbed upward since hitting a 53-year low this spring and it is being reported that some layoffs are starting to occur in a variety of sectors, due to slowing business growth and rising labor costs.

The unemployment rate held at 3.6 percent in May, close to what is considered full employment. And the U.S. labor market overall remains strong, but is showing some initial signs of cooling. U.S. employers added 390,000 jobs in May—a robust gain that also was below the average monthly pace of growth over the past year.

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